- Bitcoin struggles with waning momentum, down 8% since late February, while gold surged 23%.
- Bitcoin’s ETF outflows reach $277M, raising concerns about investor interest and future trends.
- Historical data hints at a challenging September for Bitcoin, amplifying bearish sentiment.
Peter Schiff, a well-known Bitcoin critic and financial commentator, has recently warned about the waning momentum of Bitcoin, the world’s leading cryptocurrency. Schiff took to the social media platform X to highlight what he perceives as Bitcoin’s underwhelming performance in recent months.
According to Schiff, Bitcoin’s gains have primarily been concentrated in the first two months of the year, with the cryptocurrency now down more than 8% since late February. In contrast, gold has substantially increased by 23% over the same period, underscoring the divergence between the two assets.
Bitcoin’s price experienced a significant setback in August, despite a brief recovery from a sharp crash earlier in the month. The leading cryptocurrency by market capitalization ended August down by 8.74%, marking a notable blow to bullish sentiment.
Historical data suggests that September has traditionally been a challenging month for Bitcoin, with the cryptocurrency often posting losses during this period.
In September 2019, Bitcoin dropped by 13.91%, and in 2014, it saw a steep decline of 19.31%. However, some market observers speculate that this September could be different due to the anticipated interest rate cut by the U.S. Federal Reserve.
Still, another shift regarding Bitcoin investment has been the latest trend of BTC flow out of exchange-traded funds (ETFs). At first, addition of Bitcoin ETFs gave the market a boost and the price of the cryptocurrency rose to its highest in the month of March.
But, fresh statistics tell a different story entirely. Last week, we noted that Bitcoin ETFs had seen net redemptions to the tune of around $277 million indicating a possibility of waning investor interest. It was reported that even BlackRock, which is active in the Bitcoin ETF market, saw its second-day outflows history last week, making investors start questioning the future of such financial products.
The latest concern arises from Peter Schiff who raised questions about the Bitcoin movement indicating that this is a matter of worry among enthusiasts in the cryptocurrency niche. As Bitcoin has had a tough September and ETF withdrawals remain high, the short-term picture of the crypto could look better.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
